Business Value Assessment Mid Year Update (2011) Improving ERP Usability & Customer Profitability. Copyright Winshuttle, LLC 2011
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1 Business Value Assessment Mid Year Update (2011) Improving ERP Usability & Customer Profitability 1 Jim O Farrell / Director, Product Marketing Tuesday, July 12, 2011 Copyright Winshuttle, LLC 2011
2 2
3 Challenge - Streamlining SAP Business Processes Finance HR Operations Master Data AP/AR Parking & Posting Budgeting & Planning Closing Books Record to Report Journal Entries General Accounting Incoming Payments Fixed Asset Creation & Maintenance Profitability Analysis Collections Management Many more. Personnel Change Actions New Hire Creating/Changing Organization Information Payroll/Time Admin Compensation Admin Performance Management Admin Benefits Management M&A Many more Procure to Pay Requisition Purchase Order Management Invoice Verification Sales Order Management Deliveries and Order Consolidation Production Planning Materials Creation & Maintenance Product Life-cycle Data Management Many more Mass Data Changes Data Consolidation Data Migration Functional Testing Change Management Master Data Management Data Integration Mass Data Entry Data Maintenance Real-time Ad hoc reporting Many more Over 91,000 Continuous Process Improvement Options!
4 Winshuttle Business Value Assessment Usability Business Value Assessment Based on usability surveys (Nov 2009 Present) Benchmark your SAP environment for process optimization SAP log file analysis + Winshuttle Transaction DB Benefits Identification of key SAP users by transaction frequency and complexity Identification of high yielding transactions based on correlated savings as recognized by existing customers executing the same SAP transactions A module by module view of every single transaction processed and the FTE days saved A listing of custom transactions that would make good candidates for Winshuttle optimization A Guide not a gospel with a goal to identify process improvement candidates for further evaluation WS Transaction Database 4
5 WS DB Benchmarks Description Metric Total SAP records processed 122,588,371 Total FTE (8 hr) days saved 254,638 Total FTE years saved (260 day per annum) Number of Winshuttle user log files Number of unique SAP tcodes Average SAP records processed per user log Average FTE days saved per user log Average months used per user log FTE salary savings based on $75K fully loaded per annum ,202 1, $73,453, per annum Top 10 Tcodes by FTE days saved ME21N 1,526 21% NSVARTMA 3% JROSENBE 3% MALARIE 4% FQUINTAL 4% DPOP 4% RKANJE 3% VA % RDELPAPA 4% SMACHADO 4% VA01 2,633 36% MB % MMBE 377 5% COR % BGOSSELI 3% JBRUNET 3% JLEFEBVR 5% MCHANTHI 2% Other 1,149 16% JGAGNON 2% VGIANNIN 6% MLIBERMA 11% NMCLEAN 6% LM % VL02N 305 4% MIRO 277 4% KE % SAP User Candidates for Process Optimization Based on frequency and complexity NAUCLAIR 10% LVALEANU 9% IKOLOS 7% ELANTEIG 6% 5
6 Winshuttle Transaction DB - Volume XD02 Change Customer (Centrally) 1,247,483 FBL5N Customer Line Items 1,238,391 FS10 G/L Account Balance 1,213,865 IQ01 Create Material Serial Number 1,342,410 VA02 Change Sales Order 1,086,847 MM01 Create Material & 1,899,620 Other 3,638,545 ME01 Maintain Source List 931,761 VK11 Create Condition 843,938 MM02 Change Material & 4,777,729 ME12 Change Purchasing Info Record 775,999 Top 10 Winshuttle enabled SAP transactions by total number of SAP records processed
7 Winshuttle Transaction DB - Time VA02 Change Sales Order 4,389 VK11 Create Condition 3,907 XD02 Change Customer (Centrally) 3,450 FBL5N Customer Line Items 3,138 IQ01 Create Material Serial Number 7,969 MM01 Create Material & 8,666 Other 9,546 VA01 Create Sales Order 2,583 ME12 Change Purchasing Info Record 2,054 MM02 Change Material & 11,252 FS10 G/L Account Balance 1,770 Top 10 Winshuttle enabled SAP transactions by total Full Time Employee (FTE) days saved
8 Top Winshuttle Transactions - FICO by FTE days saved TK11 Create condition (shipment costs) 1,759 FS10 G/L Account Balance 1,770 XK02 Change vendor (centrally) 1,662 Other 2,604 FB60 Enter Incoming Invoices 1,275 FD32 Change Customer Credit Management 789 FB75 Enter Outgoing Credit Memos 773 FBL5N Customer Line Items 3,138 XD01 Create Customer (Centrally) 559 XD02 Change Customer (Centrally) 3,450 FB50 G/L Acct Pstg: Single Screen Trans. 484
9 Top Winshuttle Transactions - SD by FTE days saved VA01 Create Sales Order 2,583 VB22 Change Sales Deal 1,316 VA03 Display Sales Order 1,205 VK VA42 Change Contract 611 VK11 Create Condition 3,907 Other 1,763 VA02 Change Sales Order 4,389 VL02N Change Outbound Delivery 449 VD52 Maintain Cust-Mat.Info w/select.scrn 418 WWM2 Change product catalog 285
10 Top Winshuttle Transactions - MM by FTE days saved ME12 Change Purchasing Info Record 2,054 ME01 Maintain Source List 1,353 MM01 Create Material & 8,666 Other 740 MM41 Create Material & 1,304 ME11 Create Purchasing Info Record 1,290 ME32K Change Contract 269 MR21 Price Change 245 MM02 Change Material & 11,252 MM42 Change Material & 227
11 Top Winshuttle Transactions - PM by FTE days saved IW52 Change Service Notification 736 IE02 Change Equipment 1,540 IW22 Change PM Notification 485 CL20N Object Assignments 286 IB12 Change Functional Location BOM 209 IQ01 Create Material Serial Number 7,969 Other 712 IW32 CHANGE ORDER 240 IQ04 Create Material Serial Number 176 IE05 Change Equipment 169 IQ02 Change Material Serial Number 158
12 A Day in the Life TYPICAL BVA 2.0 REPORT 12
13 ABC Company Use Cases Simplify SAP Processes with Consolidated User Interface User: All SAP and Non-SAP users in or outside of the company FB60 Enter Incoming Invoices (Finance-Control) Data Entry Data Query/Reporting Business Process Improvement Adobe, Web, Office including Excel Licensing, Auditing, Data workflow, Compliance, Security Programming not required Mass Data Change or Mass Creation and Queries User: Business Analysts and Heavy SAP users IW32 Change Order (Plant Maintenance) IW38 Change PM Orders: Selection of Orders (Plant Maintenance) Programming not required, Mass changes to SAP data w/o LSMW Regular loads of new data from third parties Data quality, cleansing and maintenance Data Extraction - Browsing, Conversion & Migration SQ01, SE16 User: Front Line Employees, Business Analysts, IT and Consulting Data quality, cleansing and maintenance Testing 13
14 BVA Summary Significant opportunities In modules PM, FICO, HCM, MM, & PS To a lesser degree IM, WM, QM, & PP 1.2M SAP aggregated screens processed during report period (2 weeks) Feb 28 & Mar 7 Representing 419 unique TCODES Projected Capacity if all TCODES were WS enabled 6,505 FTE Days Capacity Based on minimum savings (SAP GUI vs. Winshuttle Use Case) $75K fully loaded $1.9M potential year 1 FICO 469,135 Module *exclude IT Users PM 501,609 HCM 89,145 IT 43,177 MM 19,824 Other 8,245 # of processes (transactions) PS 22,246 IM 3,610 FTE days WM 5,147 QM 2,013 SYS 419 PP 666 PM , FICO , HCM , MM 63 2,
15 Initial Findings Top 10 Candidates for SAP process improvement SQ01 SAP Query: Maintain queries 1,027 IE03 Display Equipment 347 IW32 CHANGE ORDER 338 IW38 Change PM Orders 338 CJI3 Project Actual Cost Line Items 225 IE05 Change Equipment 135 Other 382 FB60 Enter Incoming Invoices 90 IE02 Change Equipment 82 KOB1 Orders: Actual Line Items 2,477 IH01 Functional Location Structure 74 (FTE Days Saved Per Annum) 15
16 Plant Maintenance IE03 TCODES SCREENS MODULE IW32 IW PM PM 73365PM DESCRIPT ION MINIMUM AVERAGE #OF TRANS TOTAL CONVERT TO FTES FTE DAYS PER YEAR Display Equipment , , CHANGE ORDER , , Change PM Orders , , FICO TCODES SCREENS MODULE KOB1 5114FICO DESCRIPT ION MINIMUM AVERAGE #OF TRANS TOTAL CONVERT TO FTES FTE DAYS PER YEAR Orders: Actual Line Items ,018, ,477 ZPAT 47968Custom Custom , , FB FICO Enter Incoming Invoices , ,
17 Human Capital Management TCODES SCREENS MODULE CAT2 PR05 PCP HCM 1827HCM 412HCM DESCRIPT ION MINIMUM AVERAGE Material Management TCODES SCREENS MODULE ME23N ME22N ME21N 2559MM 2808MM 3039MM #OF TRANS TOTAL CONVERT TO FTES FTE DAYS PER YEAR Time Sheet: Maintain Times , , Travel Expense Manager , Edit posting runs , DESCRIPT ION MINIMUM AVERAGE #OF TRANS TOTAL CONVERT TO FTES FTE DAYS PER YEAR Display Purchase Order , Change Purchase Order , Create Purchase Order ,
18 For Example SAP data entry target users ME21N Create PO PA20 Display HR Master Data USERIDS Total # Transactions Total # Screens User User User User User User User User User User USERIDS Total # Transactions Total # Screens User User User User User User User User User User User User User User User User User User User
19 Analyzing Users Usage Frequency of SAP transaction usage Calculated by # of times a transaction is executed in a period Divided by # of Tcodes for that user Resulting in A factor used to gauge high volume users Why? Benefits from WS s ability to manage large volumes of transactions Complexity Complexity of SAP transaction usage Calculated by # of steps (screens) processed during a given period Divided by # of times (transactions executed) during a given period Resulting in A factor used to gauge complex power transaction users Why? Benefits from WS s ability to streamline complex SAP transactions 19
20 Top 25 SAP Users (non-ws users) Users usage factor Users complexity factor User User User User User User User User9 377 User User User User User User User User User User User User User User User User User User User User User User User User User User User User User User User User User User User User User User User3 62 User users above usage level of 11 Basis for significance at least 1 SAP transaction per day Based on timeframe of data provided in BVA download 313 users above complexity level of 10 Average transaction involves at least 10 screens
21 SAP USER how the BVA can drill into each user for process improvement For example USER 162 Opportunities Exist for massive improvement in: FORMS (WEB SERVICES, EXCEL) Create Equipment IE01 Functional Location Structure IH01 TRANSACTION Change Functional Location IL02 Change Equipment IE02 Change Maintenance Item IP05 QUERY SQ01 IE03 Display Equipment MM03 Display Material IL03 Display Functional Location User - Tcodes Processed Total number of Total number of Steps Tcode Executions Description USER 162 IE Change Equipment IH Functional Location Structure IE Change Equipment IL Change Functional Location IE Create Equipment IE Display Equipment IL Create Functional Location IL Display Functional Location IP Change Maintenance Item IL Change Functional Location IW Change PM Notification CL Classes SQ SAP Query: Maintain queries MM Create Material & MM Change Material & IW CHANGE ORDER CAT Time Sheet: Maintain Times CT Characteristics IW Change Notifications CATS_DA 54 4 Display Working Times IW Display PM Order MK Create vendor (Purchasing) MM Display Material & CAT8 3 1 Time Sheet: Document Display IP Display Maintenance Plan IP Change Maintenance Plan IW Display PM Notification 21
22 ABC Company Use Cases Simplify SAP Processes with Consolidated User Interface User: All SAP and Non-SAP users in or outside of the company KOB1N Display Actual Cost Line Items for Orders (Finance-Control) FB60 Enter Incoming Invoices (Finance-Control) Data Entry Data Query/Reporting Business Process Improvement Adobe, Web, Office including Excel Licensing, Auditing, Data workflow, Compliance, Security Programming not required Mass Data Change or Mass Creation and Queries User: Business Analysts and Heavy SAP users IW32 Change Order (Plant Maintenance) IW38 Change PM Orders: Selection of Orders (Plant Maintenance) Programming not required, Mass changes to SAP data w/o LSMW Regular loads of new data from third parties Data quality, cleansing and maintenance 22 Data Extraction - Browsing, Conversion & Migration SQ01, SE16 User: IT and Consulting New SAP Implementation Mergers & Acquisition Data quality, cleansing and maintenance Testing
23 Business Value Assessment QUESTIONS AND ANSWERS 23
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